A major milestone in African trade integration has been reached as the African Continental Free Trade Area (AfCFTA) finalized rules of origin for 92% of traded goods, marking a crucial step toward simplifying and harmonizing trade across the continent. The agreement sets clear tariff and origin criteria, creating greater predictability for businesses and improving the ease of cross-border commerce.
Announcing the development during a high-level webinar hosted by LIMA Partners in collaboration with Andersen in Ghana, Cynthia Gnassingbe-Essonam, Senior Advisor to the Secretary-General of the AfCFTA Secretariat, noted that only the automotive and textile sectors—representing the remaining 8%—are still under negotiation.
“The AfCFTA is no longer just a vision—it is now a functioning framework reshaping trade across Africa,” she said.
Supporting Sustainable Growth and Market Confidence
Despite AfCFTA being the world’s largest free trade area by membership—connecting 1.5 billion people across a US$3 trillion market—many businesses remain uncertain about how to participate effectively. The webinar, “Unlocking Opportunities Across Africa: Harnessing AfCFTA for Business Growth,” aimed to address these gaps and provide clarity for enterprises.
Gnassingbe-Essonam revealed that Afreximbank has dedicated US$1 billion to support the automotive sector, reflecting strong institutional backing for industry-specific development under AfCFTA.
Strengthening Trade Transparency and Implementation
Although trade under AfCFTA officially began on January 1, 2021, unresolved rules of origin had previously slowed implementation. The newly concluded agreement now covers approximately 3,800 tariff lines, or 87.7% of products within the pact, providing the structure needed for seamless intra-African trade.
To further support integration, AfCFTA is developing an online system to monitor and eliminate non-tariff barriers (NTBs). This initiative is expected to enhance transparency, streamline logistics, and strengthen Africa’s position as a unified and competitive global trading bloc.
